Why I’m blogging about this topic? SIP is an investment method that most people use to invest gradually and consistently. It is a very practical method to accumulate wealth over time. But there is a way to make the SIPs even more effective. Step-up SIP is the way to do it. I feel the conventional…
The prices of even the best stocks fall when the whole stock market is on a falling spree. In such times, investors with a long-term mindset buy such stocks. But how to invest in a high market? The answer to this question is not simple. Why? Because a simple solution will be to do nothing…
With value investing comes a few synonymous terms like reading financial statements, intrinsic value, over and undervaluation, Benjamin Graham, Warren Buffett, long-term holding, etc.
Smart investors would not ignore the three investment rules described in this article. This blog is inspired from a book called “The Intelligent Investor” written by the Guru of Warren Buffett, Benjamin Graham
In the next 20-years investment horizon, one sector that stands out from the rest is Pharmaceutical. Though, as a whole, this sector is not as profitable, there are pockets of value. Stocks of a few companies stand out. But if direct stocks are not for you, pharma ETFs will do. The Exchange Traded Fund (ETF)…
Stock market investing is not only about buying and selling stocks. After a stage, the investors begin to see the investments as a collection of stocks. Single stocks transform themselves into a shares portfolio. A stage comes when the investor starts to pay less attention to individual stocks. For him/her, more important is the present…
I generally write about fundamental analysis of the business. I got this feedback that such articles are less helpful for the novice. They would prefer a more basic write-up that covers stock investment for beginners. So, I thought to give it a try in my writing style. Stocks trade in the stock market. So allow…
What is IDCW in Mutual Funds? IDCW is an abbreviation for “Income Distribution cum Capital Withdrawal.” As per SEBI Circular no: SEBI/HO/IMD/DF3/CIR/P/2020/194, dated October 05, 2020, all dividend plans must be renamed. These days, the term dividend does not appear in the scheme names. The change of name was effective since 01-Apr’2021. Currently, the fund houses offer…
Recently a friend asked me about how exit load in SIP is calculated. Before we can answer it, let’s understand a bit about the exit load itself. Check our Mutual Fund Screener. We have mainly four types of mutual funds in India, equity, debt, hybrid, and gold funds. Among these types, the majority carry an exit…
Allow me to tell you a story about why I’m writing an article on the topic of mutual fund charges. Recently, I met a worried senior citizen (my uncle). He was upset about the low returns his mutual fund (SIP) is yielding. He was so upset that he was even calling it a scam. Uncle even shared his…
First, I’ll explain what prompted me to explore the idea of index funds vs ETFs. Both are very similar products. But I wanted to know that for people like me, who like stocks, ETF is the first choice. But what is the logic behind this preference? I wanted to record it in black and white, hence…
Before we get into index investing, we must know about the stock index. An index highlights changes in the collective value of a group of stocks over time. It is an indicator that highlights the performance of the entire market or a specific portion of the market (sector, theme). If there is a group of stocks, like a portfolio, the price of its components is…
